IDEAS home Printed from https://ideas.repec.org/p/phd/dpaper/dp_2005-23.html
   My bibliography  Save this paper

Does Trade Lead to a Race to the Bottom in Environmental Standards? Another Look at the Issues

Author

Listed:
  • Medalla, Erlinda M.
  • Lazaro, Dorothea C.

Abstract

With rising globalization and advances in technology, the interrelationship between trade and the environment has increasingly become a pressing issue across the globe. This paper seeks to contribute to the discussion, mainly by looking at some theoretical underpinnings, learning from some findings in the literature and offering additional empirical evidence in relation to what is happening in the globalized world. For example, is there evidence that international trade encourages a "race to the bottom" in environmental regulations? Are developing countries more likely to export polluting products? On the other hand, are calls for environmental protection no more than disguised protectionism? What is the state of the global/multilateral regime dealing with trade and environment? Accordingly, the paper looks at some theoretical underpinnings and findings on trade and environment linkage. This is followed by a discussion on the current trade structure of products by pollution-intensity classification between developed and developing countries. The paper also contains two sections dealing respectively with some observations on environmental regulations and the treatment of environment in the multilateral agenda. Finally, the paper concludes by highlighting the need to pursue trade and environment policies in tandem.

Suggested Citation

  • Medalla, Erlinda M. & Lazaro, Dorothea C., 2005. "Does Trade Lead to a Race to the Bottom in Environmental Standards? Another Look at the Issues," Discussion Papers DP 2005-23, Philippine Institute for Development Studies.
  • Handle: RePEc:phd:dpaper:dp_2005-23
    as

    Download full text from publisher

    File URL: https://serp-p.pids.gov.ph/serp-p/download.php?d=3736&s=3
    Download Restriction: no

    References listed on IDEAS

    as
    1. Ederington Josh & Levinson Arik & Minier Jenny, 2004. "Trade Liberalization and Pollution Havens," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 3(2), pages 1-24, November.
    2. ZhongXiang Zhang, 2003. "Open Trade with the U.S. without Compromising Canada’s Ability to Comply with its Kyoto Target," Working Papers 2003.68, Fondazione Eni Enrico Mattei.
    3. Javorcik Beata Smarzynska & Wei Shang-Jin, 2003. "Pollution Havens and Foreign Direct Investment: Dirty Secret or Popular Myth?," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 3(2), pages 1-34, December.
    4. Busse, Matthias, 2004. "Trade, environmental regulations and the World Trade Organization : new empirical evidence," Policy Research Working Paper Series 3361, The World Bank.
    5. Eskeland, Gunnar S. & Harrison, Ann E., 2003. "Moving to greener pastures? Multinationals and the pollution haven hypothesis," Journal of Development Economics, Elsevier, vol. 70(1), pages 1-23, February.
    6. Francesco Ricci, 2007. "Environmental policy and growth when inputs are differentiated in pollution intensity," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 38(3), pages 285-310, November.
    7. Abay Mulatu & Raymond J.G.M. Florax & Cees A. Withagen, 2004. "Environmental Regulation and International Trade," Tinbergen Institute Discussion Papers 04-020/3, Tinbergen Institute.
    8. Abay Mulatu & Reyer Gerlagh & Dan Rigby & Ada Wossink, 2009. "Environmental Regulation and Industry Location," Working Papers 2009.2, Fondazione Eni Enrico Mattei.
    9. Pargal, Sheoli & Wheeler, David, 1995. "Informal regulation of industrial pollution in developing countries : evidence from Indonesia," Policy Research Working Paper Series 1416, The World Bank.
    10. Mulatu Abay & Florax Raymond J.G.M. & Withagen Cees, 2003. "Environmental Regulation and International Trade: Empirical Results for Germany, the Netherlands and the US, 1977-1992," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 3(2), pages 1-30, December.
    11. Medalla, Erlinda M., 2001. "Environmental Impact of Trade Policy Reforms on Pollution Intensity," Philippine Journal of Development PJD 2001 Vol. XXVIII No. , Philippine Institute for Development Studies.
    12. Jeffrey A. Frankel, 2003. "The Environment and Globalization," NBER Working Papers 10090, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:phd:dpaper:dp_2005-23. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Aniceto Orbeta) or (Christopher F. Baum). General contact details of provider: http://edirc.repec.org/data/pidgvph.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.